By 2030, low-carbon investments will need to be multiplied by two and a half times to achieve this goal (graph on the left, top). Its share in total spending is expected to increase from 35% to 65% (top right). Graph showing global venture capital investment in energy technology companies, with the most popular sector being transportation (including engines and fuel consumption, but not shared mobility, logistics or autonomous automotive technology). Source: IEA. To achieve the goals of the agreement, the scientific consensus agrees on the need to reduce global greenhouse gas emissions, which have been cited as the main cause of global warming. This has led to the so-called 20/20/20 targets – to reduce carbon dioxide (CO2) emissions by 20%, increase the market share of renewable energy to 20% and improve energy efficiency by 20% through existing technologies, such as insulation. The Paris Agreement obliges all signatories to make their best efforts through Defined National Contributions (NDCs) and to redouble their efforts in the coming years. These include regular reporting on national emissions and decarbonisation efforts. The institution`s objective would be to address market failures, reduce investment to encourage investment in low-carbon infrastructure and accelerate the supply of renewable energy. Investments made in recent years in coal and gas production compared to the future scenarios defined by the IEA for its New Policies Scenario and Sustainable Development Scenario (presented as an average annual need 2025-30). While gas remains a part of energy investments in a sustainable future, coal needs to decline significantly. Source: IEA Note that venture capital represents only a small part of the total investment in clean energy.

This perspective highlights investment opportunities by 2050, guidelines for transitio. “We know that limiting global temperatures to well below 2°C requires a rapid increase in renewable energy and efficiency, but few studies have calculated the energy investment needs for a fundamental transformation of the system, at least not from the perspective of 1.5°C and using several scientific modelling frameworks that coexist,” says IIASA researcher and lead study author David McCollum…